New Zealand Dollar May Trade to $0.8050

NZDUSD – The majority of FX traders remain long the New Zealand Dollar versus the US Dollar, and a contrarian view of sentiment leaves us in favor of continued NZDUSD weakness.

Trade Implications – NZDUSD: Last week we wrote that we favor short positions until we see the NZDUSD rally above $0.8514. And indeed, little has changed in sentiment or our near-term trading bias. A break below multi-month lows of $0.8310 opens up a move towards the year-to-date bottom of $0.8050.

See next currency section:EURUSD - Euro Remains a Sell Until this Changes